Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
According to the Austrian newspaper Der Standard of 29 November 2005, the traditional textiles and yarn manufacturer Linz Textil has cut some 250 persons since May 2005. However, it has remained unclear how many of them have been employed at Austria-based plants. In mid-2005, a production site located in Jindrichuv Hradec in the Czech Republic, which was specialised in spinning of cotton-type fibres and employed about 70 workers, was completely closed down. In between 100 and 180 employees are supposed to have been laid off at several plants located in Austria. The management argues that with the termination of textiles import restrictions which protected the EU market in the beginning of 2005 the European textiles market has been swamped with low-priced goods from Asia. Such exacerbated market conditions have forced the company to undergo thorough restructuring. As a consequence, further reductions in production capacities will be inevitable.
Eurofound (2005), Linz Textil, Internal restructuring in Austria, factsheet number 62598, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/62598.